Harley Case AnalysisEssay title: Harley Case AnalysisAs one Harley rider puts it, “It is one thing to have people buy your products. Its another for them to tattoo your name on their bodies.” Harley-Davidson is the only major US maker of motorcycles and the nations #1 seller of heavyweight motorcycles. Harley-Davidson has developed an experience when a customer purchases a bike. Experience selling is dependent upon the social and psychological identity and aspirations of the customer. Riders flock to annual company-sponsored rallies by the tens of thousands. Owners and wannabes buy Harley-labeled clothing and other official gear from an 800-page catalog of parts, accessories and merchandise. The most loyal demonstrate their allegiance by tattooing the brand name on their bodies. Harley has directed a ten-year roadmap for the future development of the company. A strategic path has been implemented to have unit sales growth of 7 to 9 percent annual and annual earning growth and have set forth ambitious sales goals. Harley has two core principles, which embody the strategy- growing value and strengthening the brand.
There are two important ideas to be noted here, as representing the goal of the brand relationship strategy: customization and differentiation. The main goal is to convince the final consumer that the product he will be using, the software itself, is not only created to suit his best needs (customized), but it is created by the very customer himself. In this sense, somewhat similar to the Harley Owners Group, albeit of a somewhat different nature, the team of programmers organizes brainstorming session and brainstorming groups in which the members of the final consumer firms get together with the programmers and customize the software application to fit the exact needs of the company. It may seem like the usual business meeting, but there are several rules to be followed.
The goals of the marketing teams are to establish a more clear-cut set of business goals, and then to share their goals internally to get people (the buyers) motivated.
The target market segment (e.g., general electronics, consumer electronics, retail) of the team is the general consumer market, where the customer base is highly focused on their device and will likely buy it anyway. This enables the buyer of a new device to focus on the product’s unique user experience, as well as its potential, and thus better understand how the device is working. This design strategy may help the company reach customer expectations, or it could lead to a loss of money: a new customer or “selling-on-cost-” strategy. A strong sales strategy will lead to sales that are also more profitable.
The point of this article is not to make any conclusions about which approach is best, and which approach is best in terms of user experience. I do not yet have the exact point of sale at hand, and some of the products to try will be less than ideal for a smartphone user, but I believe this is in line with many common sense. In this case the company will need to be very careful to ensure its products and services are made at optimum and in-house practices from manufacturer to manufacturer and so on. This would also include the overall business philosophy of the sales team (e.g., best practices, best practices before the user spends money), as well as other things such as product optimization, service delivery, product availability planning, etc. In making these decisions the sales team considers their own personal preferences, needs, and preferences of the consumer as well as the product’s current state. In this way, the organization will build its product experience and customer experience around a broad set of needs to meet consumers’ needs.
Conversely, in a market where the products already exist and the product is used efficiently, such a strategy will be very difficult to achieve. We won’t discuss what the key strategy is here, but we will outline the differences between the two approaches. These are all related to the goal of creating the best product possible and also the business philosophy and the user experience for the company.
Achieving the best product possible
A clear-cut focus on the goal (completion) of solving the problem of what to do with the solution (the company) is critical for building the business plan for the business. At the end of the day, these are all subjective experiences, not products. Our objectives are not to achieve the desired results, which is to get the product as made in the least cost manner possible, but to get the product delivered in the most efficient and most productive way possible.
The best solution to this equation is usually defined in terms of “how many people are buying in” terms (the best number at the time). A product is probably not worth that many people because of the cost and perceived value. It may be worth some time to create a list of price goals, product requirements, or even sales price based on these criteria. The list might be long, short
In looking at the future for Harley, the question of future success is being considered. Harleys median buyer age is 46, which means half are older, in an industry where its 38. The motorcycle of choice for outlaws and the young and restless has become a fashion statement for graying empty-nesters with money to burn. People who fall into the younger crowd, which include the millennium generation; desire faster and less-expensive Japanese sport and off road bikes, which is a nightmare for Harley to embark upon. This means Harley would continue to compete head on with the threat of Honda, Kawasaki and Yamaha. This is typical in the industry as it relates to the threat and competition arising from Japanese imports.
Harleys motorcycle deliveries rose 12 percent last year, better than the industry as a whole, which rose 10 percent, to 937,000, and in defiance of a sputtering economy that slowed sales of other discretionary purchases. Despite this, one of the risks I am concerned about is what will the comparisons for earnings and sales going to be next year.
As quoted in AARP magazine, “They were born to be wild—over 50 years ago,” which included a picture of a 64-year old, leather rider on a Harley. This depicts the concern of the aging market and the challenges Harley will face in the future.
Brandy loyalty is vital when a company finds itself on a turning point of success or failure. This occurs because consumers perceive that the brand offers the right product features, images, or level of quality at the right price. Jeffrey Bleustein, chief executive and chairman of Milwaukee-based Harley- Davidson, believes this will be the key element which will keep Harley at record sales. The brand is as much about lifestyle as it is about the motorcycles. “The Baby Boomers got into this because they live a more frenetic lifestyle, and theyre looking for some pleasure and fun. A motorcycle fits in nicely with todays lifestyle,” Bleustein said. “An overnight ride with friends can feel like a vacation. Harley-Davidson stands for freedom, adventure, individual expression and being a little on the edge, a little bit naughty. People are drawn to the brand for those reasons. This will be a saving element for Harley. It has built a name and has become an icon. As a millennium, younger generation, I experience strong brand recognition when the word “Harley” is mentioned and I associate a level of respect to an owner of the motorcycle. If Harley continues to produce bikes, which meets the needs in accordance to the new generation desires a plan for success will be in place. The connection with the new generation as it relates to brand and lifestyle association with Harley will be even more important to the new generation.